Haryana RERA rules defaulter homebuyer cannot claim compensation from Ireo Grace Realtech

Haryana RERA has ruled that a homebuyer who stopped payments on a delayed project cannot claim compensation from the developer. The authority held the buyer a defaulter, barring compensation under Haryana RERA Rules 2017, though it partly blamed the builder for delays in obtaining an occupation cert

GURUGRAM: A homebuyer who walked out of a delayed project cannot claim compensation from the builder, the Haryana Real Estate Regulatory Authority (HRera) has ruled, because the Authority had earlier held him to be a defaulter. Adjudicating officer Rajender Kumar, on 7 Oct, dismissed a complaint filed by Gagan Deep Singh, a Greater Kailash-I resident, against Ireo Grace Realtech. Singh had booked a 1,726.9 sq ft apartment in the builder’s Corridors project in Sector 67A in 2013.

Singh signed the buyer’s agreement on 3 Apr 2014 for Rs 1.7 crore. Under a construction-linked plan, he paid Rs 48.4 lakh. He then stopped paying further instalments, citing delays, and the builder cancelled the flat on 1 Sep 2016. Singh first approached the Authority, which on 8 Feb 2024 ordered Ireo to refund his money after deducting 10 per cent of the sale price as earnest money, with interest at 10.8 per cent per annum from the date of cancellation. He then came to the adjudicating officer, seeking Rs 50 lakh as compensation for harassment and default, another Rs 50 lakh towards litigation costs, and refund with 24 per cent interest. He also said a settlement, signed on 15 Jul 2024, was not honoured in true spirit.

The officer pointed out that Rules 28 and 29 of the Haryana RERA Rules, 2017 allow him to decide compensation only where the Authority has first established a violation by the promoter. As the Authority had instead held the buyer at fault, “this forum cannot allow compensation to the complainant,” he said, dismissing the complaint and sending the file to the record room.

The officer noted that possession was due on 11 Jan 2018, but the builder received its occupation certificate only on 27 Jan 2022. He agreed that Singh was within his rights to withdraw from the project. But the Authority, while deciding the earlier complaint, had found Singh a defaulter who failed to pay as per the plan, and the flat was cancelled only after reminders and final opportunities. Ireo argued that force majeure hampered construction, and that Singh had defaulted despite repeated reminders. It added that under the settlement, Singh had agreed all his claims stood satisfied and that it had paid the agreed amount and deposited the TDS.